The higher your Ad in the search engine the more conversion you get. It’s a simple thought but you should ask yourself: is your conversion not too expensive this way?
This is the case when you only focus on high positions without looking at the efficiency. Then your costs will be really high! Simply said; a high position is more expensive than a lower position. The CPC is higher on position 2 than on position 4, while Quality Score is the same. A high position also gives you an higher CTR but not always a higher conversion rate.
Basically a high position will give you more traffic (CTR) and a higher CTR will give you more conversion. But the cost per conversion (CPA) will keep increasing. Of course you will find your breaking point where high traffic is allowed to bring a higher CPA.
If a keyword performs really well, then you will probably increase the CPC in order to increase your Ad position and get more traffic and higher conversion. When you have an optimized account you probably have well performing keywords on high positions and less performing keywords on low positions or on hold. This connection does not also applies the other way around; a high position does not automatically leads to a higher conversion rate. It is even plausible that the conversion rate increases the lower your position, just because your visitor can than be more committed to your ad.
High position get lots of clicks and will be focused during orientation phase, but this does not mean that this person will also buy ‘the book’ at your store. When you offer a popular product then it is most llikely that you will get a lot of clicks without conversion then when you have less competition.
Bottom line: look at efficiency of your keywords! Every keyword has their own ideal position with the complementary efficiency. These are not always the highest positions!
Interested in high conversion?